Feeds

Dotcoms told to swallow advice of sex industry

Keep it cheap and easy

  • alert
  • submit to reddit

Bridging the IT gap between rising business demands and ageing tools

Dotcom start-ups should copy the porn industry if they want to be successful.

That's the advice of sex industry entrepreneurs, who reckon they are way ahead when it comes to using the Web for business. Sex sites were the first to recognise the opportunities of the Net and the sector also went through the e-learning curve quicker than the rest, they claim.

Whereas traditional e-tail giants like Amazon are still patiently waiting to break into profit, most porn sites rode into profit within since months of launch. Many have been in the black for five years, and the crème of sleaze sites don't settle for less than 20 per cent profit, Reuters reports.

Nasdaq-listed Private, which has three million visitors per month, saw first quarter profit of 29 per cent. While Canada's Casa Rosso - a spin-off of the Amsterdam red light district club - has a gross profit margin of 20 per cent.

Their secret? Many cut costs wherever possible because they are forced to operate on a tight cash flow basis - it is hard to get a bank account if you sell sex, apparently. This means they have copied the multinationals and started operations in cheaper countries like the Czech Republic.

Many also quickly cottoned on to the importance of keeping sites easy to navigate - and were among the first to use java software programmes that scrapped the need for "plug-ins" to play videos. Something failed sports e-tailer Boo.com's hi-tech site could have benefited from.

In slightly related news, a survey out today revealed Americans cited sex and watching TV as their favourite ways to fall asleep. ®

Related Stories

Porn biz sets sights on PlayStation 2, XXX box
City porn downloaders caught banking
Fantasy gamer banned in porno row
Porn queen Danni fights to hold record breaker crown

Build a business case: developing custom apps

More from The Register

next story
BBC goes offline in MASSIVE COCKUP: Stephen Fry partly muzzled
Auntie tight-lipped as major outage rolls on
iPad? More like iFAD: We reveal why Apple ran off to IBM
But never fear fanbois, you're still lapping up iPhones, Macs
Nadella: Apps must run on ALL WINDOWS – PCs, slabs and mobes
Phone egg, meet desktop chicken - your mother
HP, Microsoft prove it again: Big Business doesn't create jobs
SMEs get lip service - what they need is dinner at the Club
ITC: Seagate and LSI can infringe Realtek patents because Realtek isn't in the US
Land of the (get off scot) free, when it's a foreign owner
Samsung threatens to cut ties with supplier over child labour allegations
Vows to uphold 'zero tolerance' policy on underage workers
Dude, you're getting a Dell – with BITCOIN: IT giant slurps cryptocash
1. Buy PC with Bitcoin. 2. Mine more coins. 3. Goto step 1
There's NOTHING on TV in Europe – American video DOMINATES
Even France's mega subsidies don't stop US content onslaught
You! Pirate! Stop pirating, or we shall admonish you politely. Repeatedly, if necessary
And we shall go about telling people you smell. No, not really
prev story

Whitepapers

Seven Steps to Software Security
Seven practical steps you can begin to take today to secure your applications and prevent the damages a successful cyber-attack can cause.
Consolidation: The Foundation for IT Business Transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.
Designing a Defense for Mobile Applications
Learn about the various considerations for defending mobile applications - from the application architecture itself to the myriad testing technologies.
Build a business case: developing custom apps
Learn how to maximize the value of custom applications by accelerating and simplifying their development.
Consolidation: the foundation for IT and business transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.